BlackRock shares gain as quarterly earnings, revenue top estimates

Investing.com -- BlackRock shares climbed on Tuesday after the world’s largest asset manager posted first-quarter earnings and revenue that beat Wall Street expectations.

Shares were up about 2.8% in premarket trading by 06:16 ET.

The firm reported adjusted earnings per share of $12.53, topping the analyst estimate of $11.48, while revenue came in at $6.7 billion against a consensus forecast of $6.43 billion.

Assets under management rose 27% year-over-year to $13.89 trillion, broadly in line with the $13.92 trillion analysts had expected. The firm pulled in $130 billion in total net inflows during the quarter, led by a record first quarter for its iShares ETF business alongside gains in active and private markets strategies.

“BlackRock delivered one of the strongest starts to a year in our history," said Laurence Fink, Chairman and CEO of BlackRock.

"Our results tell more than one quarter’s story. They reflect a business with accelerating momentum, deep client engagement, and a platform built to compound across market environments. Over the last twelve months, clients entrusted BlackRock with $744 billion of net new assets, powering 10% organic base fee growth," he added.

Adjusted operating income climbed 31% year-over-year to $2.67 billion, with the adjusted operating margin expanding to 44.5% from 43.2% a year earlier.

Technology services and subscription revenue grew 22% year-over-year, driven by continued momentum in the firm’s Aladdin investment management platform and the impact of its Preqin acquisition, the company said.

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